eCommerce Conversion Rate Optimization Tips
How To Make Money From eCommerce Store
Ecommerce Online Stores can provide a great way to sell products besides having your own personal blog, but they also come with their own set of challenges. The future of eCommerce is not in brick and mortar stores, but in online stores.
There are several different ways that you can make money with an ecommerce store. You can sell products that you create yourself, or you can sell products that someone else creates.
You can also sell digital products, such as ebooks or software, or physical products that ship to customers.
Additionally, you can run ads on your store, or you can use affiliate marketing to make money. Lastly, you can also use dropshipping to keep your costs low and increase your profits.
For any eCommerce store, there are few key optimization factors that have to be taken into consideration to sustain a healthy conversion rate and maintain a profitable business.
Below are 13 ways to improve your rate of conversion instantly.
eCommerce Sales Growth Strategy
Optimization Is The Key To Make More Sales and Revenue:
If you want to make more money from your online store, what’s the best way to make that happen?
First, you can try to get more traffic to your store. Presumably, more visitors equal more sales, right? This method of increasing sales has been used for years in both brick-and-mortar and online stores.
However, more sales don’t necessarily mean more profit. There is a much more effective way to increase your overall sales and revenue: improve your conversion rate.
Your conversion rate is the percentage of your visitors who purchase from you. For example, if you have 100 visitors and three of them buy from you, your conversion rate is 3%.
You can almost always improve the conversion rate on your website. This is good news because it means you can get more sales and revenue without needing to spend money to get more traffic. Improving your conversion rate is called Conversion Rate Optimization (CRO).
Let’s say that, using CRO, you’re able to increase your sales from three out of 100 visitors to six out of 100 visitors. By doubling your conversion rate, you double your revenue without increasing your spending at all.
CRO relies heavily on A/B testing. In a nutshell, A/B testing involves testing two variations of things against each other to see which produces more conversions. For example, you may try two different headlines on a page and see which generates more sales per 500 visitors.
Some important things to remember when doing A/B testing:
Always test only one variable at a time. In order to measure the results properly, focus on testing one change.
Ensure your tests reach statistical significance. Statistical significance simply means that enough events occurred (visitors, clicks, page views, sales) to ensure that the results are accurate and not some sort of fluke.
Below is a list of 13 formulas to increase your conversion rate and optimize your eCommerce sales to the maximum level.
Formula #1: Price Anchoring
Price Anchoring Example
The more someone feels like they’re getting a steal of a deal, the more likely they are to purchase from you. With price anchoring, you include both a higher price and your selling price next to all your products. It makes it appear that people are getting a good deal.
Consider using the suggested retail value of a product or how much you would charge for a consulting session. Say you’re selling a course for $199. It contains five hours of material and your hourly rate is $100. The course is valued at $500 and you can use that figure as your price anchor.
One thing to note about price anchoring: the difference between the price anchor and the actual price needs to be reasonable and not outlandish. People will see the difference and become suspicious if the difference is too great.
Formula #2: Image Optimization
Add Multiple High Quality Images
It’s important to remember that with online shopping, your customers can’t physically handle the products they’re looking at. If they can’t touch the products you sell, they want to use their other senses, like sight.
This is why it’s so critical to include numerous excellent images of your products on the product pages. Instead of just using a single hero shot, include 5-10 images of your products from various perspectives.
You may also want to include a video or two so that shoppers can get even more of a feel for your product. Even a simple demonstration of how the product works can go a long way in the minds of shoppers. When selecting photos and videos, ask yourself what you would want to see before purchasing.
Formula #3: Product Description
Create Highly Detailed Product Descriptions
In addition to using numerous high-quality photos and videos, all of your product pages should contain in-depth product descriptions. These product descriptions help customers understand exactly what they’re getting.
Highlight the benefits of your product. Help shoppers understand just how much your product will help them. Paint a picture of the good life - of how your product will solve their problems.
Be clear on the features of the product. This includes things like the size and weight, color, number of pages (if a book), modules (if a course), how many parts are included, and more. If your product doesn’t include something that people would expect, be sure to highlight that as well.
The more informed your potential customers are, the fewer questions they’ll have and the more likely it is they’ll purchase from you.
Formula #4: eCommerce Testimonials
Include Customer Reviews
If a product has a high number of positive customer reviews, you feel comfortable buying it. On the other hand, if a product has very few or poor reviews, you’ll probably look for something else.
Customer reviews are absolutely essential for your ecommerce store. The truth is that people have much more confidence in what others say about your products than what you say about them. If you don’t have customer reviews, you’re going to be at a disadvantage.
This implies that you need to get your existing customers to actually review your products. Probably the simplest way to do this is to create an automated email that goes out at a set time after a purchase is made (like two weeks after).
If the customer is happy, they’ll probably leave a review. If they’re not, you’ll have the opportunity to solve the problem and win back the customer. To generate more reviews, consider offering some sort of incentive. For example, if a customer leaves a review, you could give them 20% off of their next purchase.
Formula #5: Checkout Best Practices
Make Checkout As Simple As Possible
If shoppers must go through a complicated checkout process, your conversion rate will fall significantly. So, how do you simplify checkout? Consider implementing the following things.
Allow shoppers to check out as guests. Don’t make people sign up for an account with you before they purchase items.
Request the minimum amount of information. If you’re selling digital products and you don’t need a person’s physical address, don’t ask for it.
Be sure every input field is clear. Some input fields, such as dates or phone numbers, require special formatting. Make it crystal clear exactly how the data should be entered by customers.
Be upfront with shipping costs. Few things turn customers off like getting to the checkout page and discovering that shipping is much higher than what they expected.
Always make it easy to get to the shopping cart. Customers should be able to view their shopping carts at any point in the shopping process.
Formula #6: Customer Experience
Provide Assurances To Customers
For most people, shopping online is an exercise of trust. Unfortunately, every online shopper has had at least one bad experience. The more assurances you can give to shoppers, the more likely it is they’ll purchase from you. What sorts of assurances?
First, make your return policy abundantly clear. Shoppers want to know that if they have a problem with the product, you’ll solve it for them.
Second, assure your shoppers that their information is safe with you. The last thing anyone wants is to have their private information compromised by a hacker.
Finally, answer as many commonly asked questions about products as possible. If customers regularly ask the same questions about a particular product, include answers to those questions on the product page.
Formula #7: Contact Page
Make It Extremely Easy To Contact You
Inevitably, your site visitors will have questions, concerns, and challenges. If you want to convert these visitors into paying customers who come back again and again, you need to make it very easy for them to get in touch with you.
The more ways customers can get in touch with you, the greater the chances of you being able to turn them into paying customers. Make your contact information obvious, clear, and easy to understand. Put a link to your contact page in your navigation menu as well as at the bottom of every page.
One important note: It doesn’t matter how easy it is for customers to contact you if you don’t resolve their issues in a timely manner. If you take ages to respond to inquiries and problems, you won’t win new customers and you’ll lose your existing customers.
Formula #8: Sales Strategy
Draw Attention To Items That Are On Sale
Price is a huge factor when it comes to shoppers making purchases. If you have certain items on sale, draw a lot of attention to those items. Highlight the sales on your homepage and across your various product pages.
There are different words you can use to highlight the discounts you’re offering:
One advantage to offering items on sale is that you can then cross-sell and upsell different products. Cross-selling is promoting related products, while upselling is promoting more expensive versions of the same product
Formula #9: Flexible Payment Options
Offer Multiple Payment Methods
Your potential customers want to be able to use their payment method of choice. If you don’t offer someone’s preferred payment method, there’s a good chance they won’t purchase from you.
At a minimum, you should accept all the major credit cards: Discover, American Express, Visa, and Mastercard. It would also benefit you to accept other methods of payment like Apple Pay, PayPal, Google Pay, and Venmo.
Ultimately, this is about providing convenience for your customers. If you want to have a high conversion rate on your site, it’s important to offer your customers the convenience they desire.
Formula #10: Abandoned Cart Rate
Create Abandoned Cart Email Sequences
If you’re not trying to get customers to come back to their abandoned carts, you’re leaving a huge amount of money on the table. Instead of trying to find new customers, you can work to convert these customers. After all, they’re already familiar with you and the products you offer.
One of the best ways to recover abandoned carts is to send out a sequence of emails to the customer. These types of emails work well in abandoned cart sequences:
Simple reminder of what they left in their cart
Discount if they return and complete the purchase
Support if they have any questions or challenges
Time sensitive (cart will expire)
You can send out these emails over a series of days. It’s likely that when the customer sees these emails, they’ll be motivated to finish their purchase.
Formula #11: Create A Sense of Urgency
When customers feel a sense of urgency, they’re more likely to purchase from you. People have a distinct fear of missing out (FOMO).
So, how can you create urgency?
Highlight limited stock. If you have a limited number of a particular product, bring that to the customer’s attention.
Limited time offers. Creating a discount that expires at a predetermined time is another great way to increase the overall conversion rate.
Limited selling window. If you limit when a person can purchase a product, it forces them to decide whether they really want to buy from you.
Offer a bonus incentive. Give people who purchase right away something additional.
It’s important to note that the urgency you create must be real. If you tell people an offer is only available for a limited time, keep your word. If people see you still giving the same offer after the expiration date, they won’t trust anything you say.
Formula #12: Easy Navigation Channels
Make it really easy to find products on your website, especially if you have a large number of them. They want to get where they’re going quickly and with minimum fuss. Use these strategies:
Clearly separate products by category. Put the categories in your website navigation so that people can get where they want to be within a few clicks of the mouse.
Implement search within your site. In the age of Google, people rely heavily on search to find the products they want. Also, look at the products people search for most and then put those on your home page or above the fold on your category pages.
Allow people to filter products by various characteristics. For example, if you sell clothes, allow people to filter by size, color, and any other relevant attributes.
One easy way to tell if things are easy to find on your site is to ask real people, such as your friends or family members, to navigate through your site. Have them record their experience in real time using a screen recorder like Loom or Quicktime.
Formula #13: Mobile Optimization
Optimize The Shopping Experience For Mobile Devices
There’s a big difference between ensuring your site works on a mobile device and optimizing the shopping experience itself. When the shopping experience is optimized, it’s easy and even pleasant to shop your store on a mobile device.
Evaluate the shopping experience with the following questions:
Is all the text easy to read?
Can shoppers quickly see all the details around a product or are they forced to scroll endlessly?
Are the images clear and easily accessible?
Are the call-to-action buttons (Place In Cart, Buy Now) obvious?
Are reviews and ratings easy to find?
Are checkout fields kept to a minimum (nobody likes endless typing on a phone)?
If you want a great example of what a highly optimized shopping experience looks like, simply visit Amazon on your smartphone. The company has literally spent millions of dollars creating the ideal experience for shoppers.
E-commerce Tutorials & Trends: Resources & Tools For Beginners
What is an ecommerce website?
An ecommerce website is an online store where customers can buy products directly through the site. Businesses that sell products and services online are referred to as ecommerce businesses. Ecommerce websites allow buyers to purchase items online without having to leave their home. By using the internet, ecommerce businesses reduce overhead costs and increase productivity.
What is an e-commerce platform?
An e-commerce platform is the software application where the seller and the customer come together to engage in commerce. Essentially, a customer should be able to use the e-commerce website to discover products, buy them using a shopping cart, and then checkout.
Nowadays, it is very common to buy things online. In fact, in some countries like Spain, almost everything can be bought online. There are many reasons for this: first of all, there is a lot of variety; secondly, we don’t have to leave home and go to the store; and thirdly, we can compare prices quite easily. All of these reasons make ecommerce stores very attractive for consumers.